ABU DHABI // Thousands of employers and sponsors are trying to avoid fines for failing to provide health insurance for their staff or dependents.
Many claim they have been out of the country, ill, or unable to afford to pay the fines, which can amount to almost Dh6,000 per uninsured person. And so far, according to officials, four in five have been successful in having their penalties waived or reduced.
Most of those appealing their penalties are individuals sponsoring family members - and therefore responsible for insuring them. Since 2006, the emirate has required companies and individual sponsors to insure workers and dependents. Although the law stipulates fines of Dh300 for each month a person is uninsured, there has been little enforcement until now. In May, the Health Authority-Abu Dhabi (Haad) said it would start issuing fines to those who failed to meet the requirement.
It offered a two-month amnesty, setting a July deadline. Sponsors who did not comply would be fined, with fines to apply back to March 2009. The amnesty deadline was later extended until September 13. Since that date, a trickle, then a flood, of people have been arriving at Haad's offices in the capital to appeal their fines. Dr Jamal al Kaabi, the head of customer services and corporate communications at Haad, estimates the number of appeals has more than doubled, rising to at least 200 a day from an initial 50 to 70.
He said insurance companies are required to tell customers they are fined and to collect the outstanding amounts. "If an individual or company is unable to pay the fine, or has documented proof that can lead to the fine being lifted or reduced, they can file a grievance with Haad," he said. Haad has set up a grievances and appeals committee for those who cannot pay their fines, or want them reduced.
Ahmed al Kindi, who heads the committee, said cases would be considered individually. "Some people may have been out of the country in the summer during the amnesty period, or ill, or in hospital and could not renew their insurance, or have limited salaries that makes it impossible for them to pay their fines," he said. To contest a fine, individual sponsors must pay a fee of Dh100, and companies Dh2,000. Fees will not be returned.
Daman insures 85 per cent of people in Abu Dhabi, or about two million customers. A basic health insurance policy costs about Dh650 a year, with some policies costing more than Dh2,000 annually. Employees, whose bosses fail to provide them with cover, are encouraged to report them to Haad. Complaints can be filed to the authority's customer services department, either in person or by telephone.
Marwan al Naboulsi, the head of enrolment and inspection at Haad, said the appeals committee was temporary, but he did not say when it would be dissolved. "During the amnesty period, thousands came forward and dealt with this, which we were delighted with," he said.
"We expected that many would still be without insurance, and predicted we would need a committee to deal with these cases." Mr al Naboulsi said it was mandatory for insurance companies to give customers 30 days' notice of the expiration of policies. Haad provides another month before the fines apply. Almost 80 per cent of grievances and appeals during the past three weeks ended with fines waived or reduced, Dr al Kaabi said.
"We aim to be fair," he said. Abu Dhabi is the only emirate to have mandatory health insurance. hkhalaf@thenational.ae
